53-174.

Co-branded alcoholic beverage; display; acts prohibited; exceptions; inspection.

(1) For purposes of this section:

(a) Co-branded alcoholic beverage means an alcoholic liquor beverage containing the same or similar brand name, logo, or packaging as a nonalcoholic beverage;

(b) Immediately adjacent means directly touching or immediately bordering one another from above, below, or the side. Immediately adjacent does not include a separate aisle; and

(c) Retail sales floor means the part of a retailer's premises that contains goods on display that are freely accessible to the consumer.

(2) Except as provided in subsection (4) of this section, the holder of a retail license to sell alcoholic liquor, beer, or wine at retail for consumption off the licensed premises with a retail sales floor that is larger than two thousand five hundred square feet shall not display any co-branded alcoholic beverage immediately adjacent to any soft drink, fruit juice, bottled water, candy, or snack food portraying cartoons or youth-oriented images.

(3) Except as provided in subsection (4) of this section, the holder of a retail license to sell alcoholic liquor, beer, or wine at retail for consumption off the licensed premises with a retail sales floor that is two thousand five hundred square feet or smaller shall either:

(a) Not place any co-branded alcoholic beverage immediately adjacent to any soft drink, fruit juice, bottled water, candy, or snack food portraying cartoons or youth-oriented images; or

(b) Equip any such display containing any co-branded alcoholic beverage immediately adjacent to any soft drink, fruit juice, bottled water, candy, or snack food portraying cartoons or youth-oriented images with signage that indicates the product is an alcoholic beverage. Such signage shall be clearly visible to consumers, shall be not less than eight and one-half by eleven inches in size, and shall contain language substantially similar to: "This product is an alcoholic beverage available only to persons who are twenty-one years of age or older."

(4) This section does not apply to a shelf, aisle, display, or display area in which the primary items for sale contain alcoholic liquor or in an area in which persons younger than twenty-one years of age are prohibited from entering without a parent or legal guardian.

(5) The commission may cause inspection to be made on the premises of all retail licensees relating to co-branded alcoholic beverage displays, and if it is found that any such licensee is violating this section or any rules and regulations adopted and promulgated by the commission pursuant to this section, the license may be suspended, canceled, or revoked after the licensee is given an opportunity to be heard in the licensee's defense.